Joint Truth In Taxation 2018 Budget Hearing Thursday December 5, 2017 6:00 P.M.



Explain the 2018 proposed budget and tax levy, and provide public an opportunity to ask questions regarding the 2018 proposed budget and tax levy. ◦ Meeting is not a discussion on the valuation of your property. ◦ Valuations can be appealed to Boards of Appeal and Equalization in the spring of each year.

Isanti County Budgeted Revenues 2016

2017

2018

$18,278,500

$19,356,931

$20,691,008

Other Taxes

522,000

551,700

593,856

Licenses and Permits

341,235

418,200

481,700

6,915,744

4,774,560

4,865,407

12,023,356

13,008,002

14,645,357

2,352,829

2,235,777

2,170,749

35,400

37,400

39,900

Interest on Investments

105,000

100,000

105,000

Donations/Contributions

200,714

172,600

184,900

1,190,693

1,214,508

1,279,018

44,187

(3,923)

64,811

$42,009,958

$41,865,755

$45,121,706

Property Taxes

Intergovernmental Revenue: Federal State Charges for Services Fines and Forfeits

Miscellaneous Other: Budgeted Use of Available Funds Total Revenue and Other Sources

Other 5%

State Aid and Taxes and

Grants 32%

Special Assessments 47%

Federal Aid and Grants 11% Charges and Fees 5%

6

Isanti County Budgeted Expenditures 2016 General Government

$7,392,792

Public Safety

8,047,248

Highways and Streets

8,596,720

Human Services Public Health

12,372,131 1,368,443

Culture and Recreation

552,097

Conservation of Natural Resources

227,272

Economic Development and Transit

1,533,561

Debt Service

1,039,644

Capital Outlay Total Expenditures

880,050 $42,009,958

2017

2018

$7,923,678

$8,394,723

8,598,563

9,052,111

6,649,550

7,194,001

13,205,658

13,704,405

1,458,460

1,518,361

572,575

634,261

277,777

322,154

1,796,219

2,342,003

991,360

1,282,320

391,915

677,367

$41,865,755

$45,121,706

7

Public Health 3% Other 12%

Human

General Government

Services 30%

19% Public Safety

Highways &

20%

Streets 16%

8

Isanti County Levy Comparison 2016

2017

2018

$12,518,202

$14,370,092

$14,628,505

381,852

384,348

410,420

Road & Bridge Fund

2,081,953

1,817,863

1,928,840

Human Services Fund

4,368,204

3,860,107

4,684,391

Debt Service

1,097,344

1,050,841

1,307,329

$20,447,555

$21,483,251

$22,959,485

(2,169,055)

(2,126,320)

(2,268,477)

$18,278,500

$19,356,931

$20,691,008

$853,810

$1,078,431

$1,334,077

4.90%

5.90%

6.89%

General Fund East Central Regional Library

Subtotal of Levies Less: County Program Aid Total Net Levy Change from Prior Year Percentage Change

9

16.0% 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0%

Average: 5.44%

        

Increased Debt Service Expenditures Increased Capital Outlay Levied Decrease in DNR PILT Payment Increased Workers Compensation Personnel Costs Election Administration Consideration of Strategic Plan Priorities Increase in tax base Increase in CPA

$2,000 Median: $1,476 $1,632 $1,500 $1,222

$1,486

$1,293

$1,341

$1,214

$1,000

$500

$-

Benton

Chisago

Isanti

Mille Lacs

Morrison

Pine

19

54

18

45

28

29

$4,000 $3,500

Median: $3,241

$3,000 $2,500 $2,000

$2,179 $1,736

$1,820

$1,791

$2,169

$2,079

$1,500 $1,000

$500 $-

Benton

Chisago

Isanti

Mille Lacs

Morrison

Pine

83

70

80

81

71

74

The Final 2018 Isanti County Budget and Levy will be approved at the December 20, 2017 County Board Meeting.



Property Tax Levy ◦ Final levy set in December ◦ Property taxes levied on a calendar year basis



Budget Cycle ◦ Final budget approved in June ◦ Budget is for fiscal year (July 1 – June 30) ◦ Mid-year budget revisions

2016 Payable 2017 Levy / Fiscal Year 2017-2018 / July 1, 2017-June 30, 2018





School district budgets are divided into separate funds, each with its own purpose Tax levy is one of the sources of revenue for some of the funds

-

Fund Categories General - Debt Service Food Service - Trust & Agency Community Service - Internal Service Building Construction

Fund

Estimated Fund Balance June 30, 2017

FY 2017-18 Revenue

FY 2017-18 Expenditures

Projected Fund Balance June 30, 2018

General Fund (Unrestricted)

6,807,198

45,297,189

46,598,788

5,505,599

General Fund (Restricted)

2,369,322

7,610,629

8,670,344

1,309,607

Total-General Fund

9,176,520

52,907,818

55,269,132

6,815,206

Food Service

659,982

2,421,740

2,556,501

525,221

Community Service

120,277

2,287,520

2,257,174

150,623

Building Construction

25,543

-

25,543

-

Debt Service

21,435,197

6,738,500

27,908,863

264,834

$31,417,519

$64,355,578

$88,017,213

$7,755,884

Total-All Funds

Federal 1.4%

Other 3.9% Property Tax 9.3%

State Aid

85.5%

Purchased Services 8.9%

Supplies & Materials 3.7%

Capital Expenditures 5.8%

Other 0.5% Salaries & Benefits 81.2%

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

State sets funding formulas which determine revenue State sets tax policy for school districts State sets maximum authorized property tax levy State authorizes school board to submit referendums for operating and capital needs to voters for approval

General Fund Fund and Levy Category 

Operating Capital

Prior Levy 2016 Pay 2017 Final Levy

Current Levy 2017 Payable 2018 Levy

Amount Difference

Percent Difference

250,429.58

212,717.27

(37,712.31)

-15.06%

1,574,524.18

1,643,937.14

69,412.96

4.41%

581,678.25

605,567.51

23,889.26

4.11%

29,225.25

30,513.64

1,288.39

4.41%

645,642.68

674,105.87

28,463.19

4.41%

Student Achievement

31,286.43

-

(31,286.43)

-100.00%

Reemployment Insurance

60,000.00

60,000.00

-

0.00%

196,689.60

195,667.20

(1,022.40)

-0.52%

Other Postemployment Benefits

63,488.60

54,536.99

(8,951.61)

-14.10%

Career & Technical Education

55,923.85

78,852.78

22,928.93

41.00%

Long-Term Facilities Maintenance

1,268,037.32

1,451,247.08

183,209.76

14.45%

Building/Land Lease

583,804.12

566,594.26

(17,209.86)

-2.95%

Abatements & Other Adjustments

(449,022.17)

(234,897.11)

214,125.06

-47.69%

Total General Fund

4,891,707.69

5,338,842.63

447,134.94

9.14%

Local Option Equity Transition Board Approved Referendum

Safe Schools

Fund and Levy Category Basic Community Education

Prior Levy 2016 Pay 2017 Final Levy

Current Levy 2017 Payable 2018 Levy

Amount Difference

Percent Difference

208,356.40

214,267.95

5,911.55

2.84%

73,211.59

71,602.83

(1,608.76)

-2.20%

1,486.71

1,527.32

40.61

2.73%

Adults with Disabilities

13,394.00

13,394.00

-

0.00%

School-Age Care

40,000.00

60,000.00

20,000.00

50.00%

Abatements & Other Adjustments

15,505.26

24,723.51

9,218.25

59.45%

351,953.96

385,515.61

33,561.65

9.54%

Early Childhood Family Education Home Visiting

Total Community Service Fund

Fund and Levy Category Initial General Debt Service

Current Levy

Prior Levy 2016 Pay 2017 Final Levy

2017 Payable 2018 Levy

Amount Difference

Percent Difference

5,617,464.27

4,760,625.95

(856,838.32)

-15.25%

Long-Term Facilities Maintenance

438,167.33

453,086.98

14,919.65

3.41%

Abatements & Other Adjustments

(2,704.34)

98,082.66

100,787.00

-3726.86%

-

(164,294.52)

(164,294.52

6,052,927.26

5,147,501.07

(905,426.19)

Debt Service Excess Reduction Total Debt Service Fund

-14.96%

Fund and Levy Category General Fund Community Service Fund Debt Service Fun Total

Prior Levy 2016 Pay 2017 Final Levy

Current Levy 2017 Payable 2018 Levy

Amount Difference

Percent Difference

4,891,707.69

5,338,842.63

447,134.94

9.14%

351,953.96

385,515.61

33,561.65

9.54%

6,052,927.26

5,147,501.07

(905,426.19)

-14.96%

11,296,588.91

10,871,859.31

(424,729.60)

-3.76%

Levy by Fund Voter Approved vs. Local Discretion Levies

6,000,000.00 5,000,000.00 4,000,000.00 3,000,000.00 2,000,000.00 1,000,000.00 General Fund

Community Service

Debt Service Fund

Fund Voter Approved

Local Discretion

Market Value

Taxes Payable

Taxes Payable

2017

2018

Amount

%

Change

2017

2018

% Change

$132,000

$132,000

0%

$610

$592

-$18

-3.0%

$132,000

$138,600

5%

$610

$628

$18

3.0%

$132,000

$145,200

10%

$610

$665

$55

9.0%



Notices to property owners were based on proposed tax increases of the following: 4.84% for City of Cambridge

Final levy increase being presented for City of Cambridge is 2%.

Significant swings in valuation between commercial and residentialset by Isanti Co.  Growth in tax base is helping us. Even though levy is going up 2%, tax rate is going down 4.93%. If your valuation stayed the same between 2017 and 2018, your City taxes would go down 4.93%. 

Proposed 2018 Levy

Adopted 2017 Levy

Adopted 2016 Levy

General Fund Operating Levy

$4,518,430 (87%)

$4,358,439 (86%)

$4,214,755 (85%)

City Hall Bonds

$410,000

$395,000

$394,000

Economic Dev Abatements

$0

$50,000

$0

2016 Street Improv Bonds

$67,000

$67,000

$0

2015 Street Improv Bonds

$75,000

$80,000

$112,000

2012 Street Improv Bonds

$127,000

$145,000

$145,000

2009 Street Improv Bonds

$0

$0

$115,000

$5,197,430

$5,095,439

$4,980,755

Total

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

Detailed financial plan for 2018 is “year one” of our long range plan. Adopted for certain funds including revenues and expenditures. Measuring stick for the year with progress reported monthly to City council. Budget for 2018 is balanced for general fund—revenues equal expenditure.

Highlights available on our website at http://www.ci.cambridge.mn.us/media/ userfiles/subsite_79/files/Finance/Finan cial_Plan.pdf

Other, $30,600 , 1% Fines , $40,770 , 1% Charges for Services, $129,010 , 2%

Liquor Store Transfer In, $400,000 , 6%

Other Transfers In, $52,350 , 1%

Intergovernmental, $1,130,275 , 17%

License & Permit, $286,800 , 4% Taxes, $4,456,101 , 68%

Transfers Out, $771,886 , 12%

General Government, $1,449,084 , 22%

Parks & Recreation, $430,556 , 7%

Public Works, $1,267,561 , 19%

Public Safety, $2,606,819 , 40%

City Hall Capital Fund, $110,000 , 14% Economic Development Admin, $75,000 , 10% Other, $21,000 , 3%

Public Works Capital Fund, $200,000 , 26%

Police Capital Fund, $48,000 , Fire Equipment 6% Fund, $55,886 , 7%

Pavement Management Fund, $220,000 , 29%

Parks & Rec Capital Fund, $42,000 , 5%

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

Airport EDA—mall operations and housing programs are self sufficient (i.e. no local tax levy) Debt Service Fund Capital Project Fund ◦ ◦ ◦ ◦

Police Capital Fund Public Works Capital Fund City Hall Capital Fund Park & Recreation Capital Fund

Public Comment